Customers 'show trust', says African Bank, as profits rise again | Fin24
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Customers 'show trust', says African Bank, as profits rise again

Nov 26 2019 21:30
Marelise van der Merwe

African Bank Holdings saw its profits after tax jump 13% to R1.15bn as it continued to focus on building trust and diversifying offerings.

African Bank and African Bank Holdings both released annual results for the year ended September 30 on Tuesday.

African Bank said its 'MyWORLD' transactional banking product – which had previously only been rolled out to employees – had successfully been introduced to the public, signalling a "new phase in the bank's growth".

"An increasing number of retail deposit customers continue to show trust in the bank, as evidenced by the significant increase in savings and investments deposits," it added.

According to the statement, retail customer deposits stood at R2.3bn, up from R1.1bn in 2018.

In a statement issued on the JSE Stock Exchange News Service, the group also emphasised a focus on stricter lending criteria, saying the bank "continued to be a responsible provider of unsecured credit to South African consumers".

"Credit risk continues to be well within the bank’s risk appetite, while new credit disbursements have increased against a backdrop of stricter credit underwriting criteria," the statement said.

Earlier in November, the bank announced it was partnering with TransUnion Credit Bureau to allow consumers unlimited access to their detailed credit report, which was previously only available at no charge once a year.

According to its integrated report, the re-launched African Bank's strategy focuses both on rebuilding public trust and diversifying its offering in order to ensure future sustainability. 

Current CEO Basani Maluleke was appointed in 2018. 

african bank  |  financial services  |  results  |  companies


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